Tariffs and Quotas in a Spatial Duopoly with a Land Market

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Title:	Tariffs and Quotas in a Spatial Duopoly with a Land Market
Authors:	麥朝成;Mai, Chao-cheng
Contributors:	淡江大學產業經濟學系
Date:	2000-12
Issue Date:	2011-09-29 10:57:54 (UTC+8)
Publisher:	Springer Berlin
Abstract:	This paper develops a spatial duopoly model by taking land consumption and mobile households into consideration and examines the respective effects of a tariff and a quota on an open economy with various price conjectural variations (including Löschian, H-S and G-O competition). The main conclusions are: (i) The Metzler Paradox does not occur under a tariff but occurs under a quota in Löschian competition; (ii) The tariff and the quota are completely equivalent under H-S competition if the nature of the quota constraint does not affect the original price conjectures; (iii) If an import equivalent quota induces a change in the domestic producer's strategy from Löschian (H-S and G-O) competition to the price leadership position, then the quota yields domestic prices which are lower (higher) than those induced by a tariff.
Relation:	The Annals of Regional Science 34(2),　p.233-250
DOI:	10.1007/s001689900003
Appears in Collections:	[Graduate Institute & Department of Industrial Economics] Journal Article

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